Car Insurance and Legal Concepts

Front

How can you determine the fair market value of your car?

Back

B) By consulting the Kelley Blue Book

Front

In a divorce, how are liquid assets like stocks and bonds typically valued?

Back

C) According to current market prices

Front

What is a recoverable depreciation clause in an insurance policy?

Back

B) It allows the owner to claim both the depreciated value and the replacement actual cash value

Front

What is the definition of "stated/agreed value" in the context of insurance?

Back

B) The value of an insured item as stated by the policyholder, agreed upon by the insurer.

Front

Which of the following best describes "salvage value"?

Back

C) The estimated resale value of an asset at the end of its useful life.

Front

What is a "total loss" in car insurance terms?

Back

B) When the cost to repair a car exceeds its actual cash value.

Front

What is the "total loss threshold" in New York?

Back

C) 75%

Front

Which type of insurance covers damage to your car in an accident with another vehicle or an object?

Back

C) Collision insurance

Front

What is "proximate cause" in the context of insurance claims?

Back

B) The primary cause of an injury or damage.

Front

If another driver was at fault in an accident, which type of insurance should the other driver’s insurance cover a totaled car?

Back

C) Property damage liability insurance